Tag Archives: dish

T-Mobile Sale On Back Burner Until Auction, Presidential Election

Deutsche Telekom ( DTEGY ) has shelved plans to put T-Mobile US ( TMUS ) up for sale, pending the outcome of a wireless spectrum auction and the U.S. presidential election, a Reuters report said Tuesday, citing unnamed sources. Deutsche Telekom, which owns two-thirds of T-Mobile, is also in no rush to seek a merger because T-Mobile has been gaining market share vs. AT&T ( T ), Verizon Communications ( VZ ) and struggling Sprint ( S ). The Obama administration’s Department of Justice signaled its opposition to a T-Mobile-Sprint merger in 2014, fearing less competition in the wireless services sector. Some observers speculate cable TV firm Comcast ( CMCSA ) could acquire T-Mobile. And satellite broadcaster Dish Network ( DISH ) has also been looking for a wireless network partner. Federal regulators appear set to go forward this spring with the much-anticipated auction of airwaves now owned by local TV broadcasters. The Federal Communications Commission plans to begin the “Broadcast Incentive Auction” on March 29. The auction, which could last five to six months, will free up an estimated 60 to 80 megahertz of prime, low-frequency radio spectrum for wireless services. In connection with the auction, the FCC will impose a quiet period that bans negotiations over spectrum and other matters. “During that period, there will be no M&A activity in the U.S. telecoms sector,” a source close to Deutsche Telekom told Reuters . T-Mobile has said it could spend up to $10 billion in the auction, with Verizon and AT&T among the other expected bidders. Comcast, too, is seen as likely to bid. If Comcast buys a large amount of spectrum in the auction and thus becomes another major provider of wireless services, that could be a precursor to a wireless acquisition that regulators would likely view favorably, analysts say.

Verizon FiOS Revamps Skinny TV Bundles, Adds ESPN; Disney Feud Over?

Verizon Communications ’ ( VZ ) spat with Walt Disney ( DIS ) over sports channel ESPN could be over. Verizon on Friday revamped its “Custom TV” programming packages for FiOS TV subscribers. Verizon FiOS now offers two standard bundles — one with sports channels ESPN, Fox Sports and NBC Sports and one without them, according to a release . The “Essentials” package without sports has more popular entertainment channels.  Ray McConville, a Verizon spokesperson, said the new bundles still give customers the option of skipping sports. He said the Custom TV revamp had nothing to do with a dispute that flared in April between Verizon and Disney. When Verizon launched Custom TV, its $55 monthly base package for 35 channels excluded Disney’s ESPN, which garners the highest fees among cable networks. Disney sued Verizon claiming it doesn’t have rights to exclude its sports channel from TV bundles under programming deals. Verizon expanded the number of channels in both new packages. The new offering now cost $69.99, along with FiOS Internet and digital voice services. Following Verizon’s Q4 earnings call, analysts speculated that a Verizon-Disney resolution could be in the cards, as IBD reported. Disney, meanwhile, on its Q4 call commented on ESPN’s success as part of Dish Networks ‘ ( DISH ) online TV service called Sling. Disney is exploring streaming deals with other companies. Disney’s ESPN is also not part of  Comcast ’s ( CMCSA ) over-the-top “Stream” TV service. Image provided by Shutterstock .

Dish Network Swings To Q4 Loss, But Online Sling Subscribers Rise

Dish Network ( DISH ) stock fell after the satellite broadcaster reported swinging to a Q4 loss, with its pay-TV subscriber numbers again falling but online Sling customers growing. Englewood, Colo.-based Dish on Thursday released full-year 2015 earnings. It did not break out Q4 financial metrics in its earnings release, though that could be determined by comparing full-year with nine-month results three months earlier. Dish Network stock was down 3.6% in early afternoon trading in the stock market today . The satellite TV broadcaster lost 12,000 pay-TV customers in the December quarter, estimated MoffettNathanson, based on nine-month financial results released in November. The Q4 subscriber loss was in line with analysts’ estimates. Dish Network combines satellite TV subscriber data with its online video Sling TV service. MoffettNathanson estimates Dish Network added 109,000 Sling customers in Q4 but lost 121,000 satellite TV subscribers. It had lost 63,000 pay-TV customers in the year-earlier period. MoffettNathanson estimates Dish Network had 503,000 Sling customers at the end of 2015. Dish Network has amassed nearly 80 MHz of radio spectrum, aiming to move into the mobile video business or find a wireless network partner. A partnership with Verizon Communications ( VZ ), or possibly T-Mobile ( TMUS ), has long been speculated, with chatter on the topic running hot and cold. In Q3, however, Dish surrendered airwaves from a 2015 auction after the Federal Communications Commission ruled its bidding partners were ineligible for small-business discounts. In 2015, operating income was negatively impacted by FCC auction expense of $516 million and an asset impairment charge of $123 million, which hit Q4 results. Dish Network reported a Q4 loss of 27 cents per share, including an impairment charge of $123 million, compared with an 88-cent profit in the year-earlier period. Analysts had modeled EPS of 12 cents. Revenue rose 3% to $3.78 billion, topping estimates of $3.74 billion.